Popular Swedish illegal sites use licensed platforms, reports ATG
Recent research from Aktiebolaget Trav och Galopp (ATG) has uncovered that 17 out of the 20 most popular illegal gambling websites in Sweden utilize the same platform providers as licensed operators.
The ATG report, released on March 12, analyzes illegal gambling activity during the last quarter of 2023, revealing that online channelisation rates ranged from 69% to 82%. This figure falls significantly short of the Swedish government’s long-term goal of achieving a 90% channelisation rate, a target established in 2019 when the country opened its regulated online gambling market.
Comparing the Q4 figures to the previous quarter, the results show a marginal improvement, aligning closely with the Q3 figures of 70% to 82%.
Tenfold Increase in Unlicensed Website Traffic Since 2019
In its detailed report for Q4, ATG highlighted a concerning trend: traffic to unlicensed gambling sites in Sweden has surged tenfold since the implementation of regulations in 2019. This increase is particularly alarming as the channelisation rate for online casinos remains considerably lower than that for sports betting. ATG reports that the casino channelisation rate is between 59% and 74%, while sports betting enjoys a channelisation range of 79% to 88%.
To track web traffic to both licensed and unlicensed gambling companies, ATG employs advanced web analytics tools. This analysis, conducted continuously and reported quarterly, estimates channelisation based on actual web traffic and expenditure assumptions derived from various sources.
Significantly, the report found that 17 of the 20 largest unlicensed gambling sites operate on platform providers that are also used by licensed operators—a violation of Sweden’s regulatory framework. Additionally, six of these sites offer direct transfers via BankID, a secure digital identification system that enables players instant access to their bank accounts.
Notably, two of the leading unlicensed websites appear on the Spelinspektionen’s banned list. Among the unlicensed sites, Luckyjungle.com, which entered the Swedish market in Q3 2023, logged the most traffic in Q4, with an astonishing 147,284 visits. The report indicated, “This site’s traffic has increased from zero to nearly 150,000 visits in just one year.” The website Unlimitcasino.com followed closely with 113,002 visits, although it has seen a decline since Q2 of the previous year. Meanwhile, Refuelcasino.com ranked third with 94,456 visits—also a decrease from Q3.
Completing the top five are Ibet.com and GG.bet, both witnessing increased visitor numbers in Q4. Long-term trends suggest a troubling decline in channelisation rates, as visits to unlicensed sites continue to rise each quarter.
ATG Critiques Unreasonable Channelisation Rate
Commenting on these findings, ATG CEO Hasse Lord Skarplöth expressed grave concerns about the prevalence of unlicensed gambling activities, advocating for action to restore a monopoly for licensed operators in Sweden. “It is unreasonable that such a significant proportion of gambling still occurs outside the licensing system,” Skarplöth stated. “Unlicensed gambling fosters opportunities for money laundering and leaves Swedish players unprotected from unscrupulous operators.”
Skarplöth affirmed ATG’s commitment to combat unlicensed operators, vowing that efforts would continue aggressively—day by day and month by month—until licensed companies regain exclusive access to the gaming market in Sweden.
In a related discussion, Gustaf Hoffstedt, secretary general of the Swedish gambling trade body BOS, conveyed skepticism about the government’s ongoing review of gambling regulations. He characterized the review as another repressive measure that would not address the declining channelisation rates. “What is critically needed is to liberalize the licensed market, making it more appealing to consumers,” he asserted in a conversation with iGB.
The implications of these findings are profound, highlighting both the challenges faced by regulatory bodies and the urgent need for strategic reforms to ensure a safe and competitive gambling environment in Sweden.
